Shanghai Zinc: Guangdong Zinc Ingots Flow to East China Market, Shanghai Spot Premiums Continue to Decline [SMM Midday Review]

SMM January 17 News: Today, the mainstream transaction prices of 0# zinc were concentrated at 24,040-24,445 yuan/mt, with Shuangyan trading at 24,390-24,785 yuan/mt, and the mainstream transaction prices of 1# zinc at 23,970-24,375 yuan/mt. In the early trading session, the market quoted at premiums of -10~10 yuan/mt against the average price and at premiums of 360~390 yuan/mt against the 2502 contract. During the second trading session, ordinary domestic zinc was quoted at premiums of 350~360 yuan/mt against the 2502 contract, Huize was quoted at a premium of 500 yuan/mt against the 2502 contract, and the high-priced brand Shuangyan was quoted at a premium of 700 yuan/mt against the 2502 contract. Recently, the Shanghai-Guangdong price spread widened again, leading to the transfer of some Guangdong zinc ingots to the east China market. Due to the price disadvantage, some downstream buyers in east China showed low purchase willingness for Shanghai zinc ingots. Spot premiums in the Shanghai market continued to decline, but the futures market rose significantly compared to yesterday. Today's market transactions were still mainly driven by rigid demand.